Mineral Rights in Michigan

We purchased our 10 acre parcel in April 1993, with the mineral rights reserved unto the Grantor. Now 17 years later, there seems to be interest in gas exploration in our area (apparently, they found a very large amount of natural gas out here).

I'm trying to ascertain what the rights are of the mineral rights holder (them), and the surface owner (us). The property is a 10 square, with our home and outbuildings pretty much in the middle of it. I am concerned that if the mineral rights holder gets an offer, we're going to have to let them come in and tear things up as they choose (this is a heavily wooded area, and the state land behind us has already been logged off and destroyed). I'm also concerned about what this might do to the value of our property, since we pay all the property taxes, and it's not looking like we would get any compensation if they tear things up (lowering the value) or strike it big (raising the value). Any input? Is there something we should be doing at this point? TIA!

Re: Mineral Rights in Michigan

It's quite possible that you'll face an intrusion of the mineral rights holder exercises its right to develop mineral resources under your land. What's the granting language for the mineral rights, and what easement or other rights are reserved against your surface rights?

Re: Mineral Rights in Michigan

Mr. KIA, the language is 'excepting and reserving unto grantor all oil, gas, mineral rights and all rights pertaining to same.'

This dang contract is so confusing, with the owner conveying a land contract to one couple, who then assigned the land contract to us, then the owner selling the land contract to another, so there are mentions of all the names on the contract, along with all kinds of attachments, ending with the warranty deed being signed over to me and a mortgage being placed on the property to put up a house. If I ever purchase more property, I'll make sure to have a lawyer help us on our end.

Thanks land surveyor, I'll go read up on that link that you included. Aside from what it might cost us in additional taxes if they raise the value of our property (since we are responsible for them), it all concerns me having something like that so close to my home (health affects on my children??). I know there is interest in this area because all the neighbors are talking about it and negotiating with the company that sent the letters.

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